Interstate tourist taxi permit fee mafia

If you’re traveling on a rented car (yellow board) and it
had to cross a state border, you might remember your driver asking for extra
money as permit fee. Almost all states charge a fee for tourist vehicles
registered in other states to enter. It is a source of revenue to many states,
particularly touristy states and a way of protecting commercial interests of
local taxis.

Pay more if you're travelling in yellow board

This post shares some of my observations in this regard.

Different states have different rate structures. While most
states offer daily/weekly/monthly charges, some states only offer long term tax
(like Himachal Pradesh, which charges Rs 610 for 2 month entry permit- even for a 24 hour visit, one has to pay Rs 610)

The tax rates often depend on how many seats are there in
the vehicle. For a 5 seater vehicle (Such as Indica or the likes), permit fee
as I know is as below:

Pondicherry: Rs 28 per day

Punjab: Rs 200 per day

UP: Rs 120 per day

RTO checkpost at HP border

Himachal pradesh entry fee for tourist taxi

UP tourist taxi entry permit fee

What happens if you don’t pay the taxes? RTO officials are
authorized to seize the vehicle and fine up to 5000/10000 Rs. But this check
rarely happens. That is probably because taxi drivers do not have any motive to skip paying the
tax, as they pass on the entire burden to their customers. The fear of seizure and fine also forces them not to take any chances. Also if the
customers are unsuspecting, a taxi driver might add another 100 Rs to the actual amount,
while collecting money from the customers.

During my 5 day, 5 states, 2000kms road trip in North India, I wasn't ever asked for permit details. While returning to Delhi our car was
stopped by Punjab police- they asked me to open the boot, which I complied- we
had over a dozen bag and asked if we should open it and show- they just let us
through, without asking for permit or checking the bags. I’ve never seen an RTO
official asking for permit receipt from a tourist vehicle. (But this is NOT a
reason NOT to pay permit fee).

There’re lots of practical challenges in this concept of Interstate permit fee or tax for tourist vehicles (Yellow board):

1. When a state has multiple entry points, a check post or
booth to pay entry tax may not be available on all roads that lead to the
state. These check posts often exist on main entrances. Taxi drivers are
familiar with these points, hence make a point to go through them and pay the
tax, but those using unconventional routes may often miss these check posts. It
is not fair to expect a driver to always know where exactly is the check post
and then drive several of extra kms to visit that post and pay the tax.

While going from Delhi to UP, I was told that the booth to
pay UP road tax is located near Anand Vihar bus stand. This meant about 5-6kms
detour and 30 mins of extra time (this was at midnight, expect more time in day
time). If I was to enter Haryana and then enter UP from a different road, where
do I supposed to go to pay the tax? Of course lots of states offer online
payment facility for the permit fee.

Similarly, if we're going from Chennai to Tirupati on the conventional route, we find a check post to pay permit fee. But if I am to go to Sriharikota, then to Venkatagiri and then connect to Bangalore-Tirupati road, probability of finding a check post is very low. If there's no place to pay tax on the route I am taking, why should I travel extra, wasting time, fuel etc to pay tax?

2. Lot of time customers end up paying double tax- for example,
if we’re going from Delhi to Himachal Pradesh via Punjab, say you start from
Delhi on Friday morning, pass via Punjab and reach HP border by evening, spend
24 hours in HP and return to Delhi on Saturday/Sunday- in this process, we’ll have to pay Punjab
tax for 2 days (though total time spent in Punjab is less than 24 hours, pay
600 Rs to HP Govt, just to be in for a day etc. I feel this tax should be
abolished if a driver can prove that he is only passing through the state and
doesn’t intend to stay (such as showing hotel confirmations etc)

3. It is very common for people manning permit booths to demand
50 Rs or so extra than the receipt amount. If questioned, they might let you
pay only the receipt amount. At HP border, the guy asked me to enter my name in
his computer, because he had left is spectacles back home. As I typed my name,
he asked for Rs 650, while the print out showed Rs 600. When I demanded why
extra, he pointed to a text which said “Processing fee Rs 10 extra’. Then I
paid only Rs 600 and another 10. He murmured something but accepted the money.

4. As a customer, if you go near the officials who print the
receipt, you might be asked to go away. This is often a ploy to ensure that you
don’t see the receipt amount.

5. If I pay for a day, assuming that I will return before
midnight, but a major traffic jam or pathetic roads on the way delays the
return, whose fault it is? Is the taxi driver and customers expected to factor
such delays and pay for an extra day?

6. Please note that this permit fee amount is in addition to
100s of rupees charged by numerous toll booths.

7. During 2010, when we toured 6 states for over 26 days as a
part of Tata Nano superdrive, we had an events team which was going a day ahead
of us in a tourist bus. (their task was to reach the next city, prepare for
hotel events etc). During 26 days road trip, the bus had to pay Rs 1.6 lakhs in
permits and tolls. Yes, it is 1.6 lakh rupees in interstate permit and tolls.
(Bus has much more seats compared to a taxi, so permit tax for a bus will be
much higher)- this is about Rs 6200 a day OR Rs 27000 per state or Rs 29 per
km.

8. Lots of taxi operators arrange white board vehicles for
interstate travel, to avoid this hefty permit fee and often expect customers to
shell out 50% of the permit fee they ‘saved’ because of this genius
arrangement. This is illegal, but very difficult to enforce. Passengers are
trained to say “this is our relative’s vehicle” and nothing much can be done to
prove otherwise.

9. Tour operators in Mangalore often arrange for alternate vehicles
at Kerala border and ask their passengers to get down and board another bus- to
save 1000s of rupees otherwise had to be shelled out on interstate permit.

10. The interstate permit tax is applicable to self drive
vehicles as well. Bangalore based Zoomcars reimburses AP state permit to its
customers, as a policy. Carzonrent doesn’t have such a policy.

11. These days toll and permit fees add up to as much as diesel
cost or even greater.

12. When new states are created, travelers burden doubles. Now
that Telangana is being created, will AP reduce its permit fee by Half since
half of its land is gone? Will Telangana stop charging those who’ve already
paid AP entry permit? For no apparent logic, travelers now need to shell out
twice the money.

Pondy Entry fee

13. In hill stations, space is at premium. Lots of parking
spaces are grabbed by local taxi unions and outside vehicles are not allowed to
park there (see sample image below, clicked in Dharmashala). If an outside taxi pays permit fee, then it should get full access
to all parking spaces otherwise illegally protected by local taxis.

14. If I am not using all the seats in the car, I still have to pay full tax. For example, say I've removed last row seats of Innova and made it a luxury 4 seater. Still tax needs to be paid as per RC book. Similarly, even if a taxi driver wishes to go to other state for his personal work or to take his family for an outing, tax still needs to be coughed up.

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96 comments:

Regarding point 3 ,abt the clerk asking you to enter your name -you should ask him for 650 for doing his work -guess after you got the receipt.

We are still living in the era of british raj,there has to be some rationalization of permits to ensure seamless travel and middlemen.

Dont know why the tata nano bus didnt have national permit,that they would wouldnt have to pay such hefty permits.

Same is the case of toll roads where there is no end date or how much of money has been collected ,toll should be ended after a certain date once costs are recovered / money reduced to only maintain the roads.

There are hundreds of illegal bridge tolls in several places in india collected by local panchayat ,in some cases the bridges are crumbling.

All thanks for the useless union govt which doesnt have a comprehensive road policy

Hi Shrinidhi,I am planning to buy a Bolero power+, But I am confused , as my purpose of buying it is for both commercial(tourist purpose) and personal use. And for this I have to go for a yellow number plate registration, but reading all these scenarios I wonder , is it possible to have a national permit for the vehicle or I think bluffing the system by registering it to a white number plate could be an option to prevent paying hefty and baseless taxes. WTF..My country I should be free to roam and travel anywhere in the country, why pay different taxes at different states. Either make it one tax one time national permit or else just remove it, One nation free to travel.

Hi...I am planning to buy a Bolero power+, and I want to use it for both commercial(tourist purpose) and personal use. But looking at the scenarios,I want your suggestion , if I go for a yellow number plate registration , is it possible toget a national permit to avoid these hefty baseless taxes. Or should I go for a white number plate registration and keep bluffing the system of taxation.

hi Shrinidhi, i have been an regular reader to your blog post and the recent one which is "interstate tourist taxi permit fee mafia " is a eyeopener for many travelers who take taxi services to other states. i often take self drive cars to Tamil nadu a 4+1 seater car where i am asked to pay 150 totally at the hosur check post. is it possible for me to get details on fee policy in tamilnadu for suv class of vehicle

I had once sent a suggestion to the Union Minister of Road Transport, to rationalise this whole Tax and Permit system, by introducing a simple Toll booth sort of thing at every entry point to the state, where every vehicle, irrespective of it being a private car, or a taxi, or a bus or whatever, thats concerned with movement of people and not goods, and then to charge a nominal amnount per seat of the vehicle, occupied or not, every time the vehicle crosses the border. Lets say Rs. 25/- - 50/- per seat. So a sedan would pay for 5 seats, a big car like Innova would pay 400/- and a bus , Rs. 2000/-. Makes sense ? Now this will remove all the vagaries associated with the process, and rationalise the whole system, while also ensuring the state is not deprived of its revenue required for the upkeep of the infrastructure.I'm still waiting for even an acknowledgement. Can I request comments on this arrangement ?

Don't know exact amount. This article claims Rs 600 per seat, which puts the amount at 12000-13000 Rs for a 21 seat minibus. It might be cheaper to take a bus/train to Kerala and then hire a local vehicle

Hi, as all said above, system is very ridiculous, I had travelled to kerala from Mumbai via bangalore Mumbai highway, this year Feb, Inc Xylo 7 seater tourist Permit vehicle from Mulund to at the end of golden quadrilateral, I payed 1200 for Toll, the main thing is when we reached karnataka border from Mumbai, the officer told us to pay 16500/- for Permit that too for 1 year, and they take that in cash, they will only accept demand draft, at 2:00 am where will we make a demand draft.they told us to halt at a nearby hotel and instead morning when banks open we have to make a demand draft.we talked very politely to the officer, because we doesn't know about this DD, we can give cash, but he didn't take cash, and said if anything happens when we were passing through, the are not responsible, we left there and at morning, we reached kerala border, they only charged 2000/- for 3 month, we only need one month stay, but they told that it's the minimum charges.

And recently i heard that karnataka had reduced there charges to 2500/- for 7 days or 15 days.

Really the Toll charges are too high and 16500/- for just passing through karnataka to reach kerala.......!!!!!!!?????? About approximately 6 to 8 hours running from maharashtra border to kerala border... We have to pay 16500/- Permit, plus 1200/- Toll, plus 5000/- Diesel.

I was noted down all the detail from start to end of my trip.each minute detail. But that paper missed, after the trip.

Anyway salute to Indian government

Average middle class man cannot afford this hectic amount, but what if, if there's an emergency situation.....

Thanks.

I was surfing thru interstate Permit on Internet, because I have to go bangalore for some work.Somebody said the fee was reduced.

Punjab Rs 120 per day, HP Rs 610 (valid for 3 months), If you rent in Delhi it is likely to have Haryana permit by default (as they often go to Gurgaon).. J&K I am not sure... Overall it should cost a few thousand rupees easily.

@JigneshThanks for sharing your detailed experience. Yes everyone wants to look commercial vehicles. There is no clear logic, process or uniformity among states. Everyone is free to charge whatever they feel like

Hello,Today I just found your blog and this is really helpful. We are planning to go to pune from Bangalore this December end by carzonrent self drive vehicle. I am worried about the entry tax for Maharashtra. I heard it is approximately ₹200 for a week,but I am worried about where to pay the tax. Where is the toll booth in between nipani to Kolhapur. Can anyone help me out on this?

@Deepak- very likely. I have noticed customers are discouraged from going near the counter while this fee is paid and if proof is not asked, drivers usually collect more money from customers than actual fee. So one should check receipt before paying the driver

Am planning to use the self drive car from revv for the first time... drive between bangalore & hyderabad for the weekend. This will mean I cut through AP and the new Telangana. Am looking for some inputs on the documents that are required for paying the taxes/entry fees/permits. Along with that would you know where these payment counters / check posts are ?

You don't have to worry about the documents- rental agency will have all the documents needed. You just need to pay the amount- they are usually located just after the state border- you will see many yellow board taxis parked around it.

1) I am planning to take my family members to Tirupati from Bangalore in Tempo Traveler (12 Seater) - Karnataka Vehicle. I would like to know what is the Permit fee for Tempo Traveler to be paid @ Andhra check point ?

Bangalore to Tirupati - Permit Fee ?

2) From Tirupati we continue to travel to Tirutani, TamilNadu, what is the permit fee to be paid for the same Tempo Traveler entering Tamil Nadu?

Hello. I'm going to Maharastra from Rajasthan via Madhya Pradesh for a tour in a 52 seater non a/c bus. I know the border tax rates of MP. Anyone have any idea about the border tax per seat for Maharashtra?? Please tell me asap.

I'm planning to start a taxi business. I would like to know what is the tax per day for a 4+1 taxi entering Maharashtra from Gujarat? Can I pay the tax for the whole month, if yes, what is the amount? Also, is it possible to pay online? Thanks.

Planning for 3 days trip from Bangalore to Wayanad(Kerala) in an Innova.we checked with a travel agent, and they are saying Rs6000/- for the interstate permit.Also saying the amount has increased few days back.

Please help me to get the exact amount need to pay from Karnataka to Kerala trip.

Planning to hire a yellow board Innova to travel to Shirdi from Coimbatore- Tamilnadu .Can you please help me with the entry tax details of Karnataka and Maharashtra. I know that for Karnataka i can pay the entry tax before entering Bangalore somewhere after Hosur. but where should i pay for Maharashtra..Can these entry taxes paid online for both Karnataka and Maharashtra..Is there any other issues like driver badge etc...Please help...

@Anon- I paid only Rs 150 for Scorpio at Kerala border. Amount should be similar for Innova as well, may be another 50-100 more if there is some increase, certainly NOT Rs 6000, which is a rip off.

Inform operator that you will be happy to pay the amount as per receipt at the interstate border- once driver shows the receipt pay that amount. Nothing extra, nothing less, else try booking self drive or with some other operator

@Senthil- answers are already given in above comments I guess, but will be within a thousand or two. If you have an option take a bus/train/flight to Mumbai/Pune and then rent a car.

There is an article mentioning the Kerala entry tax has been increased. But apparently if you are in a state permit taxi the fees is lower than national permit. The national permit taxi needs to pay tax for the year. State permit taxi has to pay for shorter duration. Could anyone confirm this please? Also any idea, what the amount is likely for Kerala for state permit taxis.

I am travelling to Jaipur from Delhi by renting a self drive car. May I know where in my route can I find these check points to pay the inter state taxes And are these taxes other than the normal tolls we pay during the journey?

I am travelling to Jaipur from Delhi by renting a self drive car. May I know where in my route can I find these check points to pay the inter state taxes And are these taxes other than the normal tolls we pay during the journey?

Not familiar with that- try1. Try online if Jaipur state has an online system (Punjab has)2. Ask the rental agency3. Ask any taxi driver4. Keep going, keep looking for any check post/counter with commercial tax or RTO etc written...

I have to take my Yellow board Radio Taxi from Gurgaon to Mumbai and not sure how much will I have to pay at each border and how many Toll booths would I be required to pay to cross it.With demonetization in effect, need to know how much cash to carry and avoid chaos.Plz help!!

Ivwantes to travel to maharastra from karnataka using rental car that is black with yellow board plate which has all india permit, may i know the cost of the permit or the entry fee to enter maharastra. And also wanted to know will they charge the permit on weekly basis or i will have to pay the whole years tax??

Is it necessary to produce yellow badge or yellow card befor entering goa in yellow tourist vehicle i own all india permit.. Though i have a transport license and police verification done at local mumbai police... We r traveling from Mumbai to goa with my frds and this car is own by my mother

I will be travelling in my All India Permit 7 seater cab from mumbai to chennai through Karnataka. I will be using the national highway in Karnataka for my travel and no stopping in between. Since I will only pass through the state that too via national highway 48 and i have an AIPT permit already, should I am required to pay tax at Karnataka borde. In tamilnadu, i will have to pay since I will be staying there for 15 days. Please anyone share your inputs regarding my query.

Hi , Karnataka currupt officer at kognoli chek post asking forcefully to pay 17500 as a permit for all india permit vehicle of suv class. Last time my customer was not ready to pay that much tax and my car get caught by fucking currupt rto police in davangire and they ask to pay 10k as fine and final settlement they took 5000 from customer.

I really fed up with these fellow, at checkpost yesterday also they denied to get a permit for 7 days and ask me to pay 17500. Again customer fed up and we reach our destination without catching by rto. Let's pray hopefully for to.arrow to cross the border safety.

According to motor vehicle act 1988 and according to karnataka motor vehicle rule 1989, a interstate tax for maxi cab is of approximate 750 to 1000 ss shown on there website according to mva of cluse 89-9 . I shown both documents to rto officer then also he forciNg me to pay 17500 or go into karnataka st my own risk. Some time I though I should stop car at check post kill these both buddy basterd corrupt officers.

I will suggest you not to take yellow permit car in karnataka, I put an rti in central and karnataka government for these and let get answer hopefully at earliest to padte here.